The signs have increased in the last few days, and now the time has come. The federal government is reacting to the slump in housing construction and presented the first points of its housing package on Tuesday. In Vienna-Floridsdorf at the construction site of the “Am Hirschfeld” residential area, Chancellor Karl Nehammer (ÖVP) and Vice Chancellor Werner Kogler (Greens) as well as representatives of the Association of Non-Profit Building Associations (GBV) will present the measures. Further details will follow on Wednesday after the Council of Ministers.
In total, according to Nehammer, who speaks of a “property program”, the government wants to invest around one billion euros, which will then trigger investments of five billion euros. “This will secure around 40,000 jobs in the construction industry,” says the government. The package was developed together with experts and the social partners. “In my Austria plan by 2030, I have set the goal that we must increase the ownership rate from 48 to 60 percent,” said Nehammer. The package should also make a contribution to this. Kogler emphasizes: “Affordable housing is the priority – both for rent and for ownership.” This makes economic, ecological and social sense. Projects that have already been planned or are about to be completed should now be mobilized quickly. This should also prevent job losses in the construction sector.
The measures at a glance
New construction and renovation. The aim of the package is to create 25,000 new or renovated residential units. Of these, 10,000 should be available for future owners and 10,000 for tenants. 5,000 residential units are to be renovated and put back on the market.
Additional fees. The land register registration fee and the lien registration fee (for the first 500,000 euros; the upper limit is two million euros) will be canceled – for the first home – for a limited period of two years. This brings relief of up to 11,500 euros, says Nehammer.
Cheaper home loans. Against the background of the currently higher loan interest rates and the strict rules for lending (keyword KIM regulation), the federal states should provide cheap housing loans for house builders and future home owners. Nehammer spoke of loans of up to 200,000 euros at maximum interest rates of 1.5 percent. There are corresponding special grants from the federal government to the states, which are then supposed to handle this. The time limit extends until the end of the financial equalization period, i.e. until 2028.
Renovation bonus. Tax incentive measures for landlords are planned to further stimulate thermal renovations.
Craftsman bonus. There will also be a new edition of the craftsman bonus (up to 2000 euros, maximum 20 percent). Details will follow today.
Vacancy. Changes in authority should allow states to collect “vacancy fees” more easily than before.
Home ownership bonus off the table
Nehammer speaks of a “competition of the best ideas” – a home ownership bonus, as suggested by the social partners, does not exist in this form. However, there is funding for loans with a maximum of 1.5 percent interest, as Kogler emphasizes. Economically, this is much more accurate.
GBV Chairman Klaus Baringer, Vice Chancellor Werner Kogler (Greens), Federal Chancellor Karl Nehammer (ÖVP) and GBV Chairman Deputy. Herwig Pernsteiner © APA / Georg Hochmuth